The Usdaw union is taking legal action over the way in which Woolworths’ administrator Deloitte handled employees’ severance pay.
It has made a claim to the Employment Tribunal for a Protective Award on behalf of Woolworths’ Usdaw members covered by the union’s bargaining agreements.
The move could see affected staff being awarded up to three months’ pay.
“We believe that there were serious legal breaches by the administrator, Deloitte, who failed to provide the union with essential information and failed to consult in a meaningful way,” said Usdaw national officer John Gorle.
“Employees gave their all in the final days of trading in very difficult circumstances and were entitled to be treated better than this.
“Usdaw will now be taking the legal route to send a message to all administrators that the union is here to defend our members’ rights.
“Our members have not only lost their jobs but have also lost out on their contractual severance payments because of the state of the company’s finances.”